The document analyzes tax lien certificate policies across various U.S. states and localities to identify effective models for local residents, investors, and tax lien delinquents. It emphasizes the need for comparative metrics, integration of property information, and analysis of bidding behavior to improve tax lien outcomes. Key findings include diverse local rates and the influence of land use on bidding aggression and lien redemption.

1. Tax Liens in the
American Landscape
Comparative Metrics of Tax Lien
Certificate Policy Outcomes

2. States & Localities as Laboratories
• Where do Tax Lien Policies Work Best?
– For local residents?
– For investors?
– For tax lien delinquents?
• What is the Best Possible Model?
– What can appeal to newcomers (especially Californians)?
– What can respond to and satisfy demands for reform?

3. The Task(s) at Hand
• Compare Bid Rates by Land Use Category
– Deal with Data Access Hurdles
• Acquire Sale Lists and Results Lists
• Acquire and Integrate Property Information
– Overcome the Apples and Oranges Problem (Big Data)
• Harmonize Zoning and Property Codes
• Recalculate Premiums into Effective Winning Bid Rates
Florida Maryland

4. America the Dataful
www.indexmundi.com

5. Comparative Densities

6. Maryland Densities

7. Florida Densities

8. Maryland Harmonization
• Diverse Local Rates
– 12%
• Cecil
– 18%
• Ann Arundel
• Howard
• Baltimore City
– 20%
• Prince George’s
𝐹𝑎𝑐𝑒𝐴𝑚𝑜𝑢𝑛𝑡 ∗ 𝐿𝑜𝑐𝑎𝑙𝑅𝑎𝑡𝑒
𝐹𝑎𝑐𝑒𝐴𝑚𝑜𝑢𝑛𝑡 + 𝐵𝑖𝑑𝑃𝑟𝑒𝑚𝑖𝑢𝑚
ROI presuming 1 year

9. Purchased at Auction, 2013

10. Charting Broad Comparisons
Total Face Avg. Face
Avg. Rate

11. Charting Land Use Comparisons #1

12. Charting LandUse Comparisons #2
Total Face Avg. Face
Total Count Avg. Rate

13. Land Use & Average Rate
Avg. Rate

14. What’s the difference that
makes a difference?

15. Charting Quintiles

16. Charting Average Rate by Quintile
Commercial Industrial
Land Residential
Bidding
Aggression

17. Residential Bid Rate by Quintile
Bidding Aggression

18. Tax Lien Policies Compared
• What kinds of outcomes are incentivized?
– Relative likelihood of delinquency.
– Relative participation of investor community.
– Relative forbearance to delinquents.
– Relative speed of lien redemption.
– Relative speed & quality of property rehabilitation.

19. Questions?
lienwatch.com